How Profitable Is the Smart Home Market

A friend in our chat group shared that he’s pretty handy with DIY projects, so he put together his own setup. It all started when he wanted to bring Xiaomi devices into Apple’s Home ecosystem, which led him to build a smart home management system using Home Assistant. These days, you’ll find guidance services on Xianyu for around $10, or ready-to-go hubs for about $100.

Over time, he started tinkering with adding his own devices and accessories. For instance, he built a human body sensor setup that triggers automated tasks when someone approaches. He mentioned that he can grab a basic control panel from Taobao for just 6 yuan—instead of paying 49 yuan at JD.com (or up to 89 yuan for premium models)—saving quite a bit.

This shows how lucrative the smart home market still is: companies can charge gate fees just by controlling network protocols. That’s also why many of Apple’s devices carry a premium—they’re tacking on protocol licensing costs. It explains why every major brand is pushing its own smart home ecosystem.